Petroleum Prices Increases in Pakistan

The petroleum prices in Pakistan were increased by Rs2.98 two-days ago. The price of High Speed Diesel (HSD) were also increased by Rs5.92 from February, 2018.

The recent hike in the petroleum prices was done after the Oil and Gas Regulatory Authority (Ogra) proposed a double-digit increase. Mainly due to an increase in the prices of petrol in the international market. This is to be mentioned that the government, however, through adjustment in other applicable levies. Managed to reduce the direct and strong impact on the consumers. Nonetheless, the increase in the petroleum prices will still affect the consumers.

After Ogra’s recommendation the prices for the HSD were also increased by Rs5.93. Meaning that price of HSD per liter from Rs89.91 has jumped to Rs95.83 per liter. However, the impact would be felt in a larger way since the HSD is used in agriculture sector and transport. Moreover, this would further increase the inflation.

Similarly, the price for petrol which was Rs81.53 liter earlier has jumped to Rs84.51 per liter. Approximate increase rate of Rs2.98. This comes at a time when the demand for the petrol has increased. Due to its usage by vehicles after the gas supply to the CNG retail outlets in Punjab was suspended. Besides, there was an increase of Rs5.93 in the price of Light diesel oil (LDO) as well.

Also worth mentioning here is the hike in the price of kerosene oil by Rs5.94 per liter. The product was already in short supply in the local market as it is being mixed in high-speed diesel. The recent hike in petroleum prices, however, will affect the general public who are using petrol for their vehicles. After the prices in the international markets had dropped. That was a relief for the middle and lower middle-class people.